DOI 10.12851/EESJ201406C04ART08
Vladimir P. Smirnov,
PhD, associate professor;
Far Eastern Federal University
Specificity of the Service Sector in the Emerging New Economy
Keywords: service, new economy, postindustrial society, integrative approach, immaterial
goods, intellectual capital.
Annotation: The article contains the results of research on the role and functions of the
service sector in the economy of post-industrial society. Subject-subject interaction occurs in
the service sector. Interested consumers useful effect generated in the service sector.
Intangible economic benefits generated in this area. Some of these benefits become economic
resources and forms a form of intellectual capital - human, institutional and consumer.
Introduction. In the emerging new economy occur quantitative and qualitative
changes. The changes are reflected in terms of size and structure of gross domestic product
and employment settings. All components of the gross domestic product grow. But the
volume and share of immaterial goods increased most rapidly. The number and share of
employment in services increased. Economy of the United States of America to the beginning
of the twenty-first century leader in the world. It was formed and operates as a service
economy. The share of the relevant activities accounted for 80% of gross domestic product
and about the same proportion of total employment (9, p. 327). Similar changes occur in the
majority of countries, including Russia. Relevance of theoretical studies creation and
consumption of services increases in these conditions.
Methods. Study of the service sector is actively conducted in the world and in Russia.
Scientific concepts reflect the growing importance of services in the community and assign
the service sector leading role in improving the overall socio-economic structure. These
concepts have been recognized and have been used successfully. Integrative approach
includes a process-based, functional, situational, target, reflexive, synergistic and other
methodological approaches. Integrative approach seems to be the most productive method of
research services.
The main part. Service sector is part of the national economy. Experts explain the
different structuring of the national economy. Representatives of the classical school of
political economy and Marxist direction recognize basic material production sphere.
Accordingly, the production of intangible recognized their minor economic sphere.
Explanatory potential of this approach in modern conditions should recognize insufficient. In
the first half of the twentieth century A. J. B. Fisher (6) and C. Clarke (3) are divided into
three sectors of the national economy. Industry associated with obtaining natural resources are
included in the primary sector. Industry treated processing industry and construction account
for the secondary sector. Various service industries related to the tertiary sector. Such
structuring of the economy adequately reflects the realities of the mid-twentieth century. At
1
www.auris-verlag.de
Eastern European Scientific Journal
the same time, such a structuring of the economy is measured not always correct. Experts note
that in the period of this approach, all three sectors in economically developed countries are
the same order on employment and on the role of wealth creation (15, p. 32). This assessment
of the role of sectors in the economy in a given period is incorrect. Structure of the economy
should be evaluated in a dynamic and not static. Evaluation of the economic structure, taking
into account the dynamics of the processes will be different. The role of the primary sector in
the economy during this period is reduced. The role of the secondary sector increases and
reaches a maximum. Role of tertiary sector begins to increase.
W.W. Rostow develops this economic model. It examines the dynamics of the
economy. W.W. Rostow justifies privacy successive passage countries growth stages. He
identifies five such stages. These stages are different levels of technological development,
share of accumulation in national income, consumption patterns (10). Spiritual development
of man comes to the sixth stage on the first plan (11).
D. Bell developed the theory of postindustrial society and identifies three stages of
economic development. Preferential use of labor in the extractive industries and agriculture
distinguishes pre-industrial stage. Industrial stage is characterized by the mass production of
goods and the predominance of the class of industrial workers. Creative work is dominated by
the post-industrial stage. Highly qualified specialists play a leading role. Released several
stages in the transition from an industrial to a postindustrial society. At the first stage
development of the industry stimulates expansion of transport and public services as services
related to the movement of goods. In the second phase growing sphere of distribution
(wholesale and retail), finance, real estate and insurance in mass consumption goods. At the
third stage economic growth is accompanied by a decrease in the share of expenditure on
food. Income shall be released on the first purchase of durable goods, and then for luxury,
leisure and consumption of various services. D. Bell complements developed C. Clark and A.
J. B. Fisher economic model and introduces her two. Transportation and public utilities ¬ No.
remain in the tertiary sector. Trade, insurance, real ¬ not driven, finance included in the
quaternary sector. Health, education, research, government, recreation included in quinary
sector (2, p. 117). The role of quaternary and quinary sectors increased in recent decades in
terms of progress in science and technology. The content of many traditional types of services
(postal services, telecommunications, education, e-commerce) is changed with the advent of
new technologies
V.L. Inozemtsev foreigners consider the economy as a bipolar system. Industry,
tending to subject-object top are on one of its poles. At the other extreme are the industry,
tending to subject-subject beginning. First pole constitute primary and secondary industry
sectors (by C. Clark and A. J. B. Fisher), as well as energy, transport and utilities. These
industries differ repeatable manufacturing processes, reproducibility, high rates of production
workers in terms of value, negative or close to zero employment growth. Service industries
make up the second pole. Human interaction is based on interpersonal communication in
these industries. The product has a low degree of reproducibility. He presented information
and knowledge. Production processes are varied. Workers are highly skilled. Productivity
indicators are low. Significant employment growth (7, p. 66).
Imprecise definitions are in the service sector scientific and professional publications.
So, it is noted that "the scope of services can be defined as a set of enterprises, institutions,
2
www.auris-verlag.de
Eastern European Scientific Journal
organizations, and activities involved in the production of all varieties of services" (14). This
definition seems overly simplistic. Another part of the definition does not fully reflect the
current state of the economy and its spheres "collar can be characterized as a system of
diverse economic activities, which, along with the sphere of material production, there is the
cumulative process of creating and using social product" (13, p. 16); "Services - system
sectors of the economy, the products use-value which is expressed in the provision of
amenities" (8, p. 879).
Errors contain definitions of other authors. Services sector is a collection of industries
subsectors and activities whose function in the system of social production is expressed in the
production and sales of services and spiritual benefits only for the population (16, p. 5). Such
an understanding of the service sector seems excessively narrowed.
More correct, but in need of refinement, are other definitions. Services sector with
sufficient grounds defined as "a set of sufficiently diverse industries, the products of which
form is the immateriality and serves as a useful effect, inseparable from the production or
maintenance of business process of social production" (5, p. 125). Indicates that the service
industry combines the services provided not only to individuals but also organizations, and
includes a wide range of economic activities, designed to meet the personal needs ¬ the
population and to the needs of production, as well as the needs of society as a whole (4, p.
24). Services sector is considered a large-scale sector, possess ¬ extending branched and
complex structure with moving particles verge ¬ "uslugovye activities" penetrate "virtually all
sectors of the economy and therefore very problematic precisely enough to delimit the scope
of services" (1, p. 91).
Elaboration of the proposed definitions is as follows. Provide services in the emerging
economies in an increasing scale, not only specialized organization, but almost all economic
agents interact with consumers. This occurs when the pre-sales and after-sales service of
goods produced, during transport, under an informational support of economic activity.
Participants exchanged networking services. Certain part of innovation in different spheres of
the economy and the complex is in the form of services. Specification of property rights and
the formation of transaction costs is also associated with the provision of services. Creation of
new and improvement of existing intellectual capital is a result of organizations providing
services. Management activities in society and in the economy in terms of separation of
ownership and management is also a provision of services.
Conclusion. Allocation in the economy industry groups (fields of activity) according
to various criteria has reasonable grounds.
Scope of services is an integral part of national and world economy. Subject-subject
interaction occurs in the service sector. Interested consumers useful effect generated in the
service sector. Intangible economic benefits generated in this area. Some of these benefits
become economic resources and forms a form of intellectual capital - human, institutional and
consumer.
Service sector comes to the leading role in the economy. The role of the service sector
in society is determined by its economic and social functions. These functions do not remain
unchanged in the emerging economy. They undergo significant changes. Content of the
service sector expanded functions. This is reflected in publications specialists. In these notes
the increasing role of the service sector. Scope of services is becoming an important part of
3
www.auris-verlag.de
Eastern European Scientific Journal
the national and world economy. It provides for the development of human capital, has an
increasing impact on the functioning and development of material production, helps to
increase free time, creating opportunities to better meet the needs and development of
individuals and society, is the most important element in the formation of the modern quality
of life, provides modern quality of economic growth and improving competitiveness of the
country (15, p. 49); (12, p. 19). However, the role and functions of the service sector are not
limited.
The most important function of the service sector in the emerging economy is the
creation and training to use a variety of new forms of immaterial capital. These are forms of
intellectual (human, institutional and consumer) capital. A considerable part of entrepreneurs
and businessmen effectively uses traditional and new forms of capital in the service sector.
Modern service industry can be defined as the manifestation of space and strengthening the
major characteristics of an emerging economy: a service that allows consumers to receive the
beneficial effect directly in production; information; network; mixed; innovation (17);
globalizing; economy with the specified property rights; economy of intellectual
entrepreneurship.
References:
1. Avanesova GA. Service Activities: Historical and Contemporary Practice, Business,
Management. M.: Aspect Press; 2005; 318.
2. Bell D. The Coming of Post-Industrial Society: A Venture in Social Forecasting. New
York, Basic Books; 1973.
3. Clark C. The Conditions of Economic Progress: London: MacMillan;1940.
4. Demidova LS. Collar Postindustrial Economy: World Economy and International
Relations. 1999. № 2; 24-32.
5. U.S. Economy: Textbook for Universities: Ed. V.B. Supian. St. Petersburg.: Peter;
2003; 656.
6. Fisher AGB. The Clash of Progress and Security. London; 1935.
7. Inozemtsev V. Structuring of Social Production in the Post-industrial System of
Coordinates (Methodological and Theoretical Aspects): Russian Economic Journal,
1997, № 11-12; 59-68.
8. New Economic and Legal Dictionary: Ed. AN. Azriliyan. M.: Institute for New
Economy; 2003; 1088.
9. Problem of Efficiency in the XXI Century: the U.S.A. Economy. Moscow: Nauka;
2006; 389.
10. Rostow WW. The Stages of Economic Growth: A Non-Communist Manifesto. New
York; 1960.
11. Rostow WW. Politics and the Growth Stage. Moscow: Progress Publishers; 1973;
315.
12. Shakurov IG. The Ratio of Market and State Regulators on Development of Services:
Author. PhD diss. St. Petersburg; 2009; 47 p.
13. Solovyova LV. Scope of Services and its Impact on Quality of Life: Theoretical and
Methodological Foundations, Methodological Tools for Assessment and Concept
Development: Author. PhD diss. Belgrade; 2008; 46.
14. Stakhanov VN., Stakhanov DV. Marketing services. M.: Expert Bureau; 2001; 176.
15. Services in Contemporary Society: Economics, Management and Marketing. Part I.
Economy Services. Irkutsk: BSUEL; 2004; 281.
4
www.auris-verlag.de
Eastern European Scientific Journal
16. Services: a New Concept of Development: VM. Rutgaizer, TI. Koriagina, TI. Arbuzov
et al (eds.). Moscow: Economics; 1990; 158.
17. Rotational Symmetry and the Transformation of Innovation Systems in a Triple Helix
of University-Industry-Government Relations: Inga A. Ivanova & Loet Leydesdorff
Technological Forecasting and Social Change (2013, in press). [Internet] Available
from: http://dx.doi.org/10.1016/j.techfore.2013.08.022
5
www.auris-verlag.de
Eastern European Scientific Journal